Forex Flash: G7 meeting in focus as Currency War talk hots up again - BTMU

FXstreet.com (Barcelona) - Derek Halpenny, European Head of Global Markets Research at the Bank of Tokyo Mitsubishi UFJ notes that the the G-7 finance ministers and central bank governors meeting will take place in London today and will certainly be the focus on a relatively light day for data from Europe.

Interestingly, he notes that UK Chancellor Osbourne released a statement saying that the meeting was “an opportunity to consider what more monetary activism can do to support the recovery, while ensuring medium term inflation expectations remain anchored”. So, he feels that it would appear from that the onus is likely to remain on central banks to support the global economy meaning more easing ahead, which will act to benefit the dollar further. Also, Bernanke is not attending!